On November 28th 2022, the controversial “More Homes Built Faster Act” (Bill 23) has been given Royal assent. This bill is part of a long-term strategy intended to increase the amount of homes being produced and make owning a home more affordable for Ontario families.  What does Bill 23 mean for you?

Additional Dwelling Units

The “More Homes Built Faster Act” or Bill 23, will allow home/property owners to build additional dwelling units on their property by amending municipality zoning laws and regulations as well as reducing the overall cost and fees associated with the process. The changes also remove previous restrictions and bylaws that may have prevented home owners from converting their basements into legal basement apartments. If you ever considered converting your basement into a legal basement apartment but were denied by the municipality for zoning regulations or even not having adequate parking available, Bill 23 removes almost all of those restrictions allowing you to convert your basement into a legal apartment and start generating some additional rental income.

Zoning Changes

Bill 23 will override municipal zoning laws, meaning that residential lots which are currently zoned for only single family homes may now be allowed to support the construction of up to 3 additional housing units. Now the 3 additional units built on a single residential lot could include any combination of either a basement apartment, garden house, laneway house or even duplexes and triplexes. Bill 23 will also exempt municipalities from setting minimum unit sizes and requirements for more than one parking space per unit.

Changes to Fees

In addition to zoning changes, Bill 23 introduces significant changes to development fees. Bill 23 will eliminate development fees associated with building affordable housing, non profit housing and inclusionary zoning units. It will also reduce development fees up to 25% for family size rental units. New units may now also be exempt from parkland dedication fees and development fees.

Summary

The new changes are aimed at helping reduce record high rent prices in Ontario and making home ownership a realistic goal again. The process of converting your basement into a legal apartment or building an additional dwelling unit on your property in Ontario will now become a lot easier and cost significantly less.